Advanced Micro Devices representatives were expecting to have good news for the Town of Malta Planning Board on Tuesday, Feb. 10, when they met in the first of many discussions of the recently filed site plan for a $4.6 billion manufacturing facility at the Luther Forest Technology Campus. But a special meeting of shareholders in Austin, Texas, earlier that day hit a snag when there was no quorum.
Only 41.7 percent of shareholders were present or had voted by proxy. The vote to accept Arab investments and clear the way for formation of the Foundry Company which is to build and run the Malta plant was rescheduled for Wednesday, Feb. 18.
According to AMD, 97 percent of the votes cast were in the affirmative.
"Everything is very positive, but we didn't have enough of those positives," said AMD's Director of Global Environmental Health and Safety Steve Groseclose, at the Feb. 10 meeting.
The company's shareholders were voting on $6 billion in foreign investments from Abu Dhabi-based Advanced Technology Investment Company and Mubadala Development Company. That would clear the way for AMD to spin off its manufacturing capabilities to the Foundry Company as part of the chipmaker's "asset light" strategy aimed at reversing its economic downward spiral.
Part of that approach involves doing manufacturing for companies without plants like Fab 4x, the facility's code name. Despite a retracting high-tech market, Groseclose said such a strategy is still viable.
"The world around us has changed since we first talked about this, but we're moving ahead," he said. "We see a long-term market demand for what we are going to do in this facility."
AMD hopes that by next week, they can get more than half of the shareholders to cast a vote.
"At that meeting we will work to make sure that we have a quorum of the voters and continue to move forward and have shareholder approval," said AMD's Harry Wolin, who chaired the abbreviated shareholder meeting